Agenda

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C. 43

To:	Board of Supervisors
From:	Jason Crapo, County Building Official
Date:	January 6, 2015

Contra

Costa

County

Subject:

Contract Amendment - Oakley Generating Station

APPROVE	OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR	RECOMMENDATION OF BOARD COMMITTEE

Action of Board On: 01/06/2015

APPROVED AS RECOMMENDED

OTHER

Clerks Notes:

VOTE OF SUPERVISORS

AYE:

John Gioia, District I Supervisor
Candace Andersen, District II Supervisor
Mary N. Piepho, District III Supervisor
Karen Mitchoff, District IV Supervisor
Federal D. Glover, District V Supervisor

Contact:

925-674-7722

I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown.
ATTESTED: January 6, 2015
David Twa,

BY:	, Deputy

RECOMMENDATION(S):

APPROVE and AUTHORIZE the Department of Conservation and Development Interim Director, or designee, to execute a contract amendment with Contra Costa Generating Station, LLC, to temporarily reduce the monthly fee charged by the County from $76,282.05 to reimbursement on a time and material basis not to exceed $25,000 for the period January 1, 2015 to December 31, 2016 due to a delay in construction activity and commensurate reduction in building inspection services provided by the County during this period, with no change to the payment limit of $3,150,000.

FISCAL IMPACT:

No fiscal impact. No activities have occurred on this project in over a year and no revenues were received by DCD in 2014. The applicant anticipates the project will remain on hold for the next 18-24 months. The proposed amendment would insure the County's actual costs are reimbursed on a time and material basis not to exceed $25,000 and would resume the fixed monthly fee of $76,282.05, in January of 2017.

BACKGROUND:

In March, 2011, DCD entered into a contract with Contra Costa Generating Station (CCGS), LLC, to provide building inspection services for the Oakley Generating Station. The Oakley Generating Station is a new 624-megawatt natural gas-fired power plant in eastern Contra Costa County regulated under the jurisdiction of the California Energy Commission (CEC). The CEC has delegated authority to the County to enforce building code regulations. DCD has been informed by CCGS that construction activity on the Oakley Generating Station will continue to be minimal during the period from January 1, 2015 to December 31, 2016 and therefore the building inspection services required from DCD will be minimal as well. The proposed contract amendment would adjust the payment provision of the contract to be consistent with the level of services DCD will provide to the project during the period covered by the amendment. The level of services required from DCD, and the fee DCD charges to CCGS, will increase if full construction activity on the project resumes.

CONSEQUENCE OF NEGATIVE ACTION:

If the proposed contract amendment is not approved, DCD will not be able to adjust fees for this project consistent with the level of service provided

CHILDREN'S IMPACT STATEMENT:

N/A